On December 3, Armenia’s Finance Minister Vahe Hovhannisyan presented a draft law to parliament for the ratification of a protocol amending the agreement on the establishment of the Eurasian Fund for Stabilization and Development (EFSD). The most significant change under the protocol is granting the Fund the status of an international organization.
The EFSD was established in 2009 by six countries—Armenia, Belarus, Kazakhstan, Kyrgyzstan, Tajikistan, and Russia—to strengthen economic and financial stability among member states. Until now, the Fund did not hold legal entity status, with its resources managed by the Fund’s Council in accordance with an agreement between the Eurasian Development Bank (EDB) and its founding members.
According to the minister, the Fund and the EDB originally had different missions, and the need to separate their functions has long been a topic of discussion. In 2023, a package of updated statutory documents was developed to implement the Fund’s strategic goals for 2022-2026. A key objective of these changes is to enable the financing of projects and programs in the national currencies of member states.
The protocol on amendments was signed by all member states of the Fund on June 26, 2024. Under the revised charter, the EFSD will become an international organization with the status of a subject of international law. Armenia’s parliamentary commission on financial, credit, and budgetary affairs has recommended supporting the draft law.
